intellectual property, page-5

Linfox don't expect to make 80% margins (as quoted for ETC on this forum). Or even 65%.

Provenco had secure card technology. Margins were razor thin though and always have been since tech-boom investment generated an over-proliferation of investment in secure card technology. Bye bye Provenco.

I can believe that ETC can win contracts. I can't believe the margins being assumed in profitability calculations are correct going forward though, unless their IP is so significantly different that competitors can't come close. I can't find any signs that is the case.

If margins revert to "normal", then based on (an optimistic) $170m of revenue per year, I'd say the company would at best be worth $100m market cap at this point - 24cps.

Based on the HY result, it didn't appear Sapio was generating much business for them either.

There are true-believers on this forum who somehow assume I post factual discrepancies because I'm "out to get" this stock. I'm not sure why I would care that much to waste my time if that were my motive. Like everyone in this game, I just want to turn a buck and the faster the better. If ETC turns out to be "the real deal" then it is clearly a fantastic investment. People here seem content to take it on faith - I regard this as wishful thinking.

I don't often do this level of due diligence on a stock because it's not often the mismatch between pricing and "story" appears so high.